Are Solar Panels Worth It?

Are you considering installing solar panels on your home along the Jersey Shore, but unsure if they are worth it? They seem to be popping up everywhere now, but are they worth it? There is plenty of advertising out there claiming they will drastically lower your energy bills, but it doesn’t factor in the cost of purchasing and installing the solar panels.

Before making the investment in solar panels on your home, here is what you should know.

The Cost

The price you will pay for solar panels varies based on many different things. The more energy you are looking to generate the more equipment you will need which adds to the cost. On average, you can expect a solar panel with 5-kilowatt solar system, which is the average size, to cost you a little over $18,000. The price tag may come as a shock, but there are many government programs out there that you may benefit from.

How To Reduce The Cost

The federal government recently extended its 30% investment tax credit for solar power installation until the year 2019. The state of New Jersey also offers the Solar Renewable Energy Credit (SREC) where one SREC is equal to one megawatt of electricity that is generated as a result of solar. Utility companies in turn purchase the SRECs which on average nets a homeowner $170 for each SREC. In the state of New Jersey, you can expect to generate up to 6 of these SRECs a year. You can expect a solar system to pay for itself in seven to 15 years making it a large multi-year investment. If you are planning to live in your home along the Jersey Shore for an extended period of time, then solar panels may be a benefit to you. If the cost of solar panels is still too much after credits available there is also the option of leasing solar panels. A third party will install and maintain them at their expense, and you are in turn provided an electricity rate lower than what you are paying currently.

Is It Right For You?

There are factors to consider beyond cost when it comes to installing a solar system on your home. Your home needs to receive adequate sun light to generate enough power. New Jersey ranks 4th out of the Top 10 Solar States in America according to the Solar Panel Industries Association. Another thing to consider is the location of your home. For optimal sun exposure, a home with a roof facing north to south that is not obstructing sun light works best.

Having solar panels on your home can boost your home’s resale value by upwards of $15,000 according to a recent U.S. Department of Energy report by researchers at Lawrence Berkeley National Laboratory. Installing solar panels may be less risky than you thought.

If you are looking to buy or sell a home along the Jersey Shore this fall, we would be glad to help. The Ferzoco Group is experienced in working with buyers and sellers from Ocean City to Cape May. If you are looking to sell or buy a home let us know how we can help. Our job is to make your tomorrow better than today.Contact us today via email or give us a call at 609-264-6762.